Bitmine Immersion Technologies, Inc. stock research
FY2024 Q3
Bitmine Immersion Technologies (BMNR) Gross Margin — Quarter Ended May 31, 2024
Revenue increased compared to both the prior quarter and the same quarter last year. However, gross profit declined from the prior quarter, and gross margin weakened substantially from both periods, as cost of revenue rose more rapidly than revenue. The filing notes a deposit for transformers and related customer advances, though no direct explanation for the margin change is provided.
Gross margin takeaway
Quarter ended May 31, 2024 · FY2024 Q3
Revenue increased compared to both the prior quarter and the same quarter last year. However, gross profit declined from the prior quarter, and gross margin weakened substantially from both periods, as cost of revenue rose more rapidly than revenue. The filing notes a deposit for transformers and related customer advances, though no direct explanation for the margin change is provided.
- The strongest observable margin driver is the faster growth in cost of revenue relative to revenue, which compressed gross profit and margin.
- Compared to the immediately preceding quarter, gross margin weakened as revenue grew but cost of revenue increased more, causing gross profit to decrease. Versus the same quarter one year earlier, revenue was higher and gross profit was higher, but gross margin was lower due to a proportionally larger increase in cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
18.1%
Gross profit
$221687
Revenue
$1.2M
Cost of revenue
$1.0M
Quarter-over-quarter change
-18.2 pts
Year-over-year change
-31.0 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Aug 31, 2023 | $245346 | $108861 | $136485 | 44.4% |
| Nov 30, 2023 | $511308 | $104082 | $407226 | 20.4% |
| Feb 29, 2024 | $891613 | $323622 | $567991 | 36.3% |
| May 31, 2024 | $1.2M | $221687 | $1.0M | 18.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Feb 29, 2024
-18.2 pts
Year-over-year change
May 31, 2023
-31.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the faster growth in cost of revenue relative to revenue, which compressed gross profit and margin.
Compared to the immediately preceding quarter, gross margin weakened as revenue grew but cost of revenue increased more, causing gross profit to decrease. Versus the same quarter one year earlier, revenue was higher and gross profit was higher, but gross margin was lower due to a proportionally larger increase in cost of revenue.
Monitor the trend of cost of revenue relative to revenue, as the margin has declined sharply.